}

427

It has been suggested that this might be accomplish-

ed by taking the collection of the Opium Revenue into

our own hands. Hongkong is rightly jealous of the sta-

tus as an absolutely free port to which its commercial

prosperity is so largely due. The creation of bonded

warehouses, and insistence that all Opium imported into

the Colony shall be deposited therein would be certain

infringement upon that status; but the convenience of

admitting a foreign preventive service would he immeas-

urably greater.

Ju

That is, then, the solution which is proposed.

(3) The Hongkong Government would, presumably, in such

case, undertake to collect as an export tax, and hand

over to the Chinese Authorities, (after deducting the

cost of collection) the recognised amount which the

latter ought properly to collect as an import duty on

their own soil. The service would be great; and the

consideration required should be the complete removal

of the Chinese Customs and all its accessories beyond

British Limits.

It would be desirable, as a corollary, that the

proposed Boundary Line of the new Concession should be

rectified. That which has been indicated appears arbit-

rary and unsatisfactory, in that it presents no natural

division; wheras a good natural frontier exists in a

range of hills a little farther to the North. The ex-

tension would be slight; and the change would be an ad-

vantage to the Chinese not less than to ourselves, 38

passes through hills can be more easily protected against

smugglers than the open frontier which was at first pro-

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